Risk Management: BCP

In the SUBARU Group, we place focus on initial response during an emergency in accordance with our Emergency Response Policy. In such instances, crisis management headquarters are set up when a serious incident occurs and a response system is promptly and precisely developed. This facilitates rapid business recovery as per our business continuity plan (BCP).

The Risk Management and Compliance Office plays a pivotal role in establishing regulations as part of the emergency response system, and the Chief Risk Management Officer (CRMO) centrally collects Group-wide information, establishing a system to manage company-wide responses. When emergency situations arise, we prioritize initial response within a system based on the crisis level of the situation.

Initiatives for Emergency Preparedness

During times of normalcy, we work to enhance the speed and accuracy of risk recognition and identification when emergency situations arise to the best of our ability by clarifying the roles of each department and the domain of management responsibilities. Especially with the growing threat of large-scale natural disasters, we have formulated initial response guidelines as action standards to ensure appropriate initial response that prioritizes human life above all. This ensures preparedness from times of normalcy with efforts made to share and enhance awareness of these action principles.
In addition, each department regularly prepares and updates its own rules and regulations, conducts training sessions, and takes other action in preparation for business continuity. Furthermore, each business site works to enhance its own BCP, including specifying key operations and establishing an emergency contact system. In close collaboration with SUBARU corporate departments, SUBARU is implementing measures to ensure business continuity as well as swift and precise operational recovery.
A company-wide emergency contact system is in place across the entire SUBARU organization, based on the Emergency Response Basic Manual, and we conduct regular drills in our Safety Confirmation System in preparation for information sharing in the event of disasters that may affect the SUBARU Group.

Approach to Risks in the BCP

A BCP is intended to address uncertainties in contingencies due to incomplete plans, lack of resources, changes in the external environment, technical problems, lack of training, and other factors. To mitigate these risks, we view it as important to regularly review our BCP and ensure the effectiveness of the plan by providing thorough education and training for employees.

Initiatives at Each Site and Group Company

Gunma Plant

Since the disaster caused by Typhoon Hagibis (Typhoon No. 19 of 2019), we have carried out construction work to bolster storm water drainage capacity and increase water storage capacity within each factory (Main Plant, Yajima Plant, and Oizumi Plant). As a result, flood damage within the plants has been minimized. The measures also helped to combat flooding of the surrounding area.
In addition, a portion of the SUBARU Oizumi Plant premises was apportioned, three tennis courts were built there, and the land was donated to Oizumi Town. At that time, a 3,800 m2 storm water detention tank was installed under the tennis courts to help prevent flooding of the adjacent National Highway No. 354 bypass during periods of rainfall.

Utsunomiya Plant

In FYE March 2018, SUBARU conducted work to bolster storm water drainage capacity as a disaster response countermeasure. As a result, the plant has suffered no flood damage. The measures also helped to combat flooding of the surrounding area.
In FYE March 2020, SUBARU also registered for Utsunomiya City’s Registration System for Disaster Prevention Cooperation, building a cooperative system with the local community for times of disaster. Furthermore, in March 2020 SUBARU introduced a cogeneration system that can generate electricity using city gas even during lengthy power outages at the plant, and in January 2023, a new cafeteria was constructed with capacity for over 600 people, creating a safe environment as a temporary shelter in an emergency. This exemplifies our commitment to both employee well-being and regional cooperation.
In addition, we formulated a BCP for major disasters for the Aerospace Company in preparation for large-scale disasters. When devising this plan, the unique attributes of each site (Utsunomiya, Handa, and Kisarazu) were considered, and the fundamental principles of ensuring employee safety, sustaining supply chain management and business continuity, and contributing to the local community’s recovery were set in place.

Subaru of America, Inc.

In preparation for severe disasters, Subaru of America, Inc. has established stormwater management infrastructure, which includes raising existing site grades by approximately 1.5 m and planting wetland vegetation in areas with poor drainage. The company’s rain garden helps reduce flooding in the nearby Cooper River through on-site retention of a portion of stormwater.

Supporting Restoration at Suppliers Stricken by Disaster

Providing support to suppliers during times of emergency is a major pillar of SUBARU’s BCP and is an essential measure for SUBARU, which aims to achieve coexistence and co-prosperity with its suppliers.
In FYE March 2022, SUBARU dispatched a cumulative total of more than 500 workers from the Gunma Plant and supporting companies to provide support for restoration work to business partners affected by factory fires during the period immediately after the fires until the end of April 2021. Support work was primarily focused on cleaning areas where fires had occurred and restoring equipment damaged by soot and extinguishing water discharged to stop the fires. In response to these activities, we clarified the organizational structure for factory restoration in the event of a large-scale disaster, and deployed equipment necessary for restoration at each plant (Main Plant, Yajima Plant, and Oizumi Plant). We also dispatched 90 employees for two months from mid-October 2021 to support the production of a supplier whose production system had been affected by semiconductor supply problems.
Going forward, SUBARU aims to derive and strengthen its own unique BCP vision.